Gold surged over 5% on Tuesday, February 3, 2026, on track for its biggest daily gain since November 2008.
Silver also jumped as precious metals staged a comeback after their steepest two-day drop in decades.
Analysts see the bull run continuing and expect the metals to notch fresh record highs later this year.
Spot gold climbed 5.8% to $4,935.56 an ounce by 0818 GMT. On Monday, it hit a low of $4,403.24, two sessions after peaking at $5,594.82.
U.S. gold futures for April delivery rose 6.6% to $4,958.50 per ounce.
A senior market analyst at Capital.com, Kyle Rodda, said: “It’s a reasonable call that this is somewhere around fair value potentially, if you consider that we saw a market behaving fairly irrationally for a few weeks there.
“The current prices take gold and silver back to where they were, early in the second half of January.”
Oil prices drop amid US-Iran de-escalation, firm dollar
Gold’s spectacular rally saw it smash multiple peaks and log a nearly 13% gain in January, its biggest monthly gain since November 2009, while silver touched an all-time high of $121.64 last Thursday.
Silver gained 10% to $87.40 an ounce on Tuesday, after suffering its biggest one-day loss on record on Friday with a 27% slump. It fell by another 6% on Monday.
The metals had slumped after United States President Donald Trump nominated Kevin Warsh to be the next U.S. Federal Reserve chair, Reuters reported.
In other metals, spot platinum climbed 5.7% to $2,242.55 per ounce after hitting a record high of $2,918.80 on January 26, while palladium was up 5.3% at $1,811.39.
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